1 00:00:00,160 --> 00:00:04,200 Speaker 1: Imagine that untrue allegations appear on an Internet site about 2 00:00:04,200 --> 00:00:07,680 Speaker 1: your business tanking it. The site refuses to take them down, 3 00:00:07,720 --> 00:00:11,360 Speaker 1: but instead offers to sell you a reputation management service 4 00:00:11,440 --> 00:00:14,520 Speaker 1: to clean up the problem at a hefty price. The 5 00:00:14,600 --> 00:00:18,560 Speaker 1: powerful free speech protections for the Internet have allowed this 6 00:00:18,600 --> 00:00:21,800 Speaker 1: to happen in some cases. Joining me is Bloomberg Business 7 00:00:21,800 --> 00:00:25,079 Speaker 1: Week writer June Lawrence, who wrote about rip Off Report 8 00:00:25,200 --> 00:00:28,920 Speaker 1: dot com and Dr John Pittman's battle with it. Do 9 00:00:29,400 --> 00:00:34,800 Speaker 1: tell us about what happened to John Pittman, Hi, June, 10 00:00:34,960 --> 00:00:38,680 Speaker 1: thanks for having me. Um So. Dr Pittman is a 11 00:00:38,680 --> 00:00:42,599 Speaker 1: plastic surgeon and he practiced in Virginia and in two 12 00:00:42,640 --> 00:00:49,040 Speaker 1: thousand thirteen, these complaints started to appear on rip Off 13 00:00:49,040 --> 00:00:53,479 Speaker 1: Report about him and his practice. And some of them 14 00:00:53,520 --> 00:00:56,000 Speaker 1: had names on them, but they they don't know that 15 00:00:56,040 --> 00:00:57,480 Speaker 1: they were real names, and some of them were just 16 00:00:57,520 --> 00:01:00,880 Speaker 1: anonymous um and they all they said all these things, 17 00:01:00,920 --> 00:01:04,680 Speaker 1: saying he was a drug addict, his business was tanking, 18 00:01:05,560 --> 00:01:09,680 Speaker 1: he perjured himself in a trial against his ex wife 19 00:01:10,280 --> 00:01:12,880 Speaker 1: and taken money for it. There's just a lot of 20 00:01:13,240 --> 00:01:16,920 Speaker 1: really seen the allegations. So if you and they appeared 21 00:01:17,080 --> 00:01:19,679 Speaker 1: high up in his in search results on his name 22 00:01:19,760 --> 00:01:23,560 Speaker 1: and on the name of his practice. Um, so if 23 00:01:23,600 --> 00:01:28,560 Speaker 1: you're considering plastic surgery, you're probably not gonna go to him. 24 00:01:29,040 --> 00:01:32,200 Speaker 1: So and his business did tank after that. Now he 25 00:01:32,280 --> 00:01:35,840 Speaker 1: has filed suit and saying that all of those out, 26 00:01:35,840 --> 00:01:39,039 Speaker 1: all of those complaints, everything was false, but that when 27 00:01:39,120 --> 00:01:42,280 Speaker 1: he approached the website called rip Off Report to tell 28 00:01:42,319 --> 00:01:44,520 Speaker 1: them that it was false, then all of those were 29 00:01:44,520 --> 00:01:46,240 Speaker 1: false and to ask them to have it taken down, 30 00:01:47,200 --> 00:01:50,600 Speaker 1: they told him they couldn't do that, but they could 31 00:01:50,800 --> 00:01:53,200 Speaker 1: charge him money and they would make them go away 32 00:01:53,240 --> 00:01:58,360 Speaker 1: and turn them positive. And in your in your article 33 00:01:58,440 --> 00:02:02,240 Speaker 1: you say that according to in House Council a net Baby, 34 00:02:02,960 --> 00:02:05,720 Speaker 1: we don't want to assume that because somebody wrote something 35 00:02:05,800 --> 00:02:10,000 Speaker 1: really outlandish it's false, because it might be true. And 36 00:02:10,240 --> 00:02:13,920 Speaker 1: once a complaint goes up, it stays there unless you 37 00:02:14,760 --> 00:02:18,080 Speaker 1: pay this and tell us about this service that they offer. 38 00:02:19,000 --> 00:02:21,440 Speaker 1: So there are ways they so they there are ways 39 00:02:21,480 --> 00:02:25,200 Speaker 1: to make the to make the report go lower down 40 00:02:25,360 --> 00:02:28,560 Speaker 1: in search results. And I think what happens. You can 41 00:02:28,600 --> 00:02:31,600 Speaker 1: pay rip off and to become a member of one 42 00:02:31,639 --> 00:02:36,560 Speaker 1: of their service programs and they will sort of review 43 00:02:36,680 --> 00:02:41,160 Speaker 1: your business themselves. Um, they'll come and do an inspection 44 00:02:41,280 --> 00:02:46,040 Speaker 1: and take photos and then so that positive review replaces 45 00:02:46,200 --> 00:02:50,320 Speaker 1: essentially it sits on top of the original negative review. UM, 46 00:02:50,400 --> 00:02:52,960 Speaker 1: so that even though you still might have rip off 47 00:02:52,960 --> 00:02:55,520 Speaker 1: report in your search results. As a business, it would 48 00:02:55,560 --> 00:02:58,480 Speaker 1: be something saying, oh, this is a trusted business and 49 00:02:59,240 --> 00:03:01,880 Speaker 1: you should you the service, UM, and they have the 50 00:03:01,919 --> 00:03:06,959 Speaker 1: customer's interests at heart. UM. Tell about tell me about 51 00:03:07,000 --> 00:03:11,120 Speaker 1: the online free speech under section to thirty, which is 52 00:03:11,200 --> 00:03:14,440 Speaker 1: really at the heart of this. Well, so all of 53 00:03:14,440 --> 00:03:16,720 Speaker 1: this sounds a little bit, you know, from if you're 54 00:03:16,760 --> 00:03:19,520 Speaker 1: just it sounds a little bit counterintuitive that this would 55 00:03:19,520 --> 00:03:22,600 Speaker 1: be totally fine to do and also unfair, right, you know, 56 00:03:22,760 --> 00:03:27,440 Speaker 1: so something false? Why should Why shouldn't the website just 57 00:03:27,520 --> 00:03:30,880 Speaker 1: take it down? UM? And the reason for that is 58 00:03:30,880 --> 00:03:34,480 Speaker 1: that they don't have to under something called the Communications 59 00:03:34,560 --> 00:03:38,840 Speaker 1: Decency Act Section to thirty. It was. It's a law 60 00:03:38,920 --> 00:03:45,960 Speaker 1: pass It immunizes websites from content that third parties, but 61 00:03:46,040 --> 00:03:48,880 Speaker 1: from content from third party. So basically, if you're a 62 00:03:48,960 --> 00:03:53,320 Speaker 1: user and you put up the samatory complaint on this website, 63 00:03:53,400 --> 00:03:56,800 Speaker 1: the website is not liable for that. You could be UM, 64 00:03:56,800 --> 00:04:00,280 Speaker 1: but the website is not. UM. But you know, can 65 00:04:00,280 --> 00:04:03,920 Speaker 1: be very can be very complicated for businesses to respond 66 00:04:03,960 --> 00:04:06,680 Speaker 1: to this because you know, in a situation with report, 67 00:04:07,200 --> 00:04:10,720 Speaker 1: they won't take it down, um, so you basically have 68 00:04:10,840 --> 00:04:13,160 Speaker 1: to pay them even if it's fall So it sounds 69 00:04:13,200 --> 00:04:17,360 Speaker 1: like a nightmare. Are there any legal avenues? Are their 70 00:04:17,480 --> 00:04:21,080 Speaker 1: attorneys general looking into this? Are there any lawsuits that 71 00:04:21,160 --> 00:04:27,640 Speaker 1: have worked? Well? There there are lawsuits there. Judges seem 72 00:04:27,680 --> 00:04:32,320 Speaker 1: to be considering situations in which Section to thirty might 73 00:04:32,400 --> 00:04:36,520 Speaker 1: not apply. Now section is still remains a very powerful protection, 74 00:04:36,760 --> 00:04:43,159 Speaker 1: and and that's good for the internet. Um, but um, 75 00:04:43,360 --> 00:04:48,560 Speaker 1: there are cases in which judges are considering, well, um, 76 00:04:48,640 --> 00:04:52,520 Speaker 1: when might other laws afly like criminal statutes or something, 77 00:04:52,640 --> 00:04:55,680 Speaker 1: when might the website actually be liable for what they've 78 00:04:55,720 --> 00:04:59,120 Speaker 1: put for you know, the content up there. And and 79 00:05:00,040 --> 00:05:04,560 Speaker 1: in one particular case that's important for Dr Pittman's lawsuit, 80 00:05:05,560 --> 00:05:09,480 Speaker 1: the judge in Iowa it was it's not a it's 81 00:05:09,480 --> 00:05:11,560 Speaker 1: not a final ruling, but he did find in a 82 00:05:11,600 --> 00:05:16,080 Speaker 1: preliminary ruling that m rip offs section to the Section 83 00:05:16,080 --> 00:05:19,799 Speaker 1: to thirty immunity would not apply in that case because 84 00:05:19,880 --> 00:05:26,359 Speaker 1: ripoffs essentially had been too involved, um in creating the content, 85 00:05:26,480 --> 00:05:30,520 Speaker 1: like they had paid allegedly paid the man who wrote 86 00:05:30,560 --> 00:05:34,200 Speaker 1: a lot of the reports and may also have been 87 00:05:34,279 --> 00:05:37,080 Speaker 1: involved in writing the reports. Um. Now that is something 88 00:05:37,120 --> 00:05:40,600 Speaker 1: that the website denies, but the judge did say that, 89 00:05:40,839 --> 00:05:44,400 Speaker 1: you know, at trial, more likely than not ripoffs would 90 00:05:44,400 --> 00:05:47,920 Speaker 1: not get Section two thirty immunity. Well, so this is 91 00:05:48,000 --> 00:05:50,560 Speaker 1: as you said, this is really complex and it's a 92 00:05:50,760 --> 00:05:53,520 Speaker 1: nightmarish situation that you paint in your article for the 93 00:05:53,560 --> 00:05:56,160 Speaker 1: people who are subjected to this, And if you want 94 00:05:56,160 --> 00:05:59,200 Speaker 1: to read more about this, go to Bloomberg Business Week, 95 00:05:59,360 --> 00:06:04,039 Speaker 1: because it is it's really complex and very interesting. Thank 96 00:06:04,080 --> 00:06:07,000 Speaker 1: you so much, June Lawrence from Bloomberg Business Week for 97 00:06:07,080 --> 00:06:09,960 Speaker 1: being with us here on Bloomberg Law. That's it for 98 00:06:10,000 --> 00:06:12,839 Speaker 1: this edition of Bloomberg Law. We'll be back tomorrow at 99 00:06:12,880 --> 00:06:16,200 Speaker 1: one pm Wall Street Time. Thanks to our technical director 100 00:06:16,279 --> 00:06:20,240 Speaker 1: Chris try Comey and our producer David Suckerman. Bloomberg Markets 101 00:06:20,240 --> 00:06:23,640 Speaker 1: with Carol Master and Corey Johnson starts right now on 102 00:06:23,720 --> 00:06:28,600 Speaker 1: Bloomberg Radio. This is Bloomberg. I'm June Grosso. Thanks for listening. 103 00:06:28,920 --> 00:06:32,800 Speaker 1: Stay tuned for Carol Master and Corey Johnson. This is 104 00:06:32,800 --> 00:06:33,400 Speaker 1: Bloomberg